§236E-8  Tax imposed; credit for tax paid other state.  (a)  A state estate tax return shall be filed in the case of every decedent whose estate is required by the laws of the United States to file a federal estate tax return.  This section shall apply to a decedent who, at the time of death was:

     (1)  A resident of the State; or

     (2)  A nonresident of the State whose gross estate includes any real property situated in the State or tangible personal property having a situs in the State.  Where the decedent is the sole owner of a single member limited liability company that has not elected to be taxed as a corporation, the single member limited liability company shall be disregarded for purposes of this chapter and this chapter shall be applied as if the sole member is the owner of the property.

     (b)  With respect to the estates of decedents dying after January 25, 2012, the tax based on the Hawaii net taxable estate shall be as provided in the following schedule:

 

     If the Hawaii net taxable

      estate is:                  The tax shall be:

     $1,000,000 or less       10.0% of the Hawaii net

                                       taxable estate

 

     Over $1,000,000 but      $100,000 plus 11.0% of the

        not over $2,000,000            amount by which the Hawaii

                                       net taxable estate

                                       exceeds $1,000,000

 

     Over $2,000,000 but      $210,000 plus 12% of the

      not over $3,000,000              amount by which the Hawaii

                                       net taxable estate

                                       exceeds $2,000,000

 

     Over $3,000,000 but      $330,000 plus 13% of the

        not over $4,000,000            amount by which the Hawaii

                                       net taxable estate

                                       exceeds $3,000,000

 

     Over $4,000,000 but      $460,000 plus 14% of the

        not over $5,000,000            amount by which the Hawaii

                                       net taxable estate

                                       exceeds $4,000,000

 

     Over $5,000,000          $600,000 plus 15.7% of the

                                       amount by which the Hawaii

                                       net taxable estate

                                       exceeds $5,000,000.

 

     (c)  If any property of a resident is subject to a death tax imposed by another state and if the tax imposed by the other state is not qualified by a reciprocal provision allowing the property to be taxed in the state of the decedent's domicile, the amount of the tax due under this section shall be credited with the lesser of:

     (1)  The amount of the death tax actually paid to the other state; or

     (2)  An amount computed by multiplying the Hawaii estate tax by a fraction, the numerator of which is the value of the property subject to the death tax imposed by the other state, and the denominator of which is the total value of the decedent's gross estate.

     (d)  Except as otherwise expressly provided, for purposes of this chapter, the gross value of transferred property shall be its value as finally determined for purposes of the federal transfer tax. [L 2012, c 220, pt of §1; am L 2017, c 156, §1]

 

Note

 

     The 2017 amendment applies to decedents dying or taxable transfers occurring after December 31, 2016.  L 2017, c 156, §3.